CAPM Practice: Determine how to document project controls of predictive, plan-based projects

Cost baseline changes require formal change control — just like scope and schedule baseline changes. The additional scope's cost impact must be formally approved (typically by the sponsor or CCB with budget authority) before the cost baseline is updated. Using reserves without authorization or tracking additional costs informally both violate project governance.

**Why not A:** Informally adding to the budget and tracking spending separately violates project governance. All budget changes must go through formal change control to maintain the integrity of the cost baseline and ensure proper authorization of expenditures.

**Why not C:** Management reserve is held for unknown-unknowns — risks that were not identified. Using it to cover an approved scope addition without formal authorization misappropriates the reserve and bypasses the change control process that governs baseline changes.

**Why not D:** Contingency reserves are allocated for identified risks, not for approved scope additions. Absorbing scope-driven costs within contingency reserves without updating the baseline masks the true cost impact and depletes reserves meant for risk responses.